Thursday, July 28, 2016

Net Asset Value (NAV) is the price at which
a single unit of Mutual fund is traded. In simple terms we can say every stock
have a face value the same way every Fund have its NAV. There are some of the
fund distributors who love to promote that, a fund with high NAV is costlier.

In reality, NAV is irrelevant and should
not be considered while investing in funds.

Confused? Let’s say, there are two
identical funds in which one of the fund is around for a while were as second
is newly launched. As the value of their holding (identical) increases, the NAV
will rise by the same percentage. So investor of both the funds will be
benefited equally.

Let’s take a broader view. Let’s say the
NAV of the two funds is Rs.10 and Rs.50 and they rise to Rs.11 and Rs.55,
respectively. So, it might appear that one has just rise by a rupee while the
other by Rs.5, but in reality both the funds have shown a 10 percent of rise.
Of course, number of units held would differ. A low NAV would fetch higher
number of units while high NAV would have low number of units.

The cost of the scheme in terms of NAV has
nothing to do with its return. What you want to buy is its performance and not
the NAV. The only instance where a higher NAV will affect is when a dividend
has been received. This happens because higher NAV results into less number of
units which leads to lower dividend. But in case of funds with low NAV will get
huge amount of dividend. Here, the investor is not really benefited as his own
money is given in the form of dividend. Infact, after the dividend is paid-out,
NAV is adjusted accordingly.

That means whichever angle we see, NAV does
not interfere in the returns of the fund; it is only the performance which
indicates the returns. Here the case in point is rather than comparing the NAV
of the fund it is better to compare the performance for a great outcome.

Thus, Invest in funds which are appropriate to you and your investment type and as per the NAV.

Get such more Expert Advise and absolute returns on your investments - Click HERE

Tuesday, July 26, 2016

Among various category of
equity Mutual fund, Mid-cap funds have their different charm of all. Mid-cap
and Small-cap fund category is possibly the most exciting fund. These
categories of funds have almost 60% of the asset in Mid-cap companies over the
past 3years.

Mid-cap fund is able to deliver
high returns when markets are doing well. The return can be above the average
return. This drastic return is what makes investor to go for this fund. But on
the other hand these funds have a huge volatility when market is in a bad
phase. Sometimes the difference in the fall and rise price can be very high
which makes investor fail to resist on
switching. But as often said market is volatile it can be good or bad. So
holding the fund for longer time will give you a best out of it.

So going for
the Small-cap or Mid-cap can be rewarding for your portfolio considering the
returns they deliver. However, during the tank period these are the most beaten
once but during the rally they fetch maximum returns so the higher the risk the
bigger the reward!

Canara
Robeco Emerging Equities Fund: Daily Chart

Canara Robeco
Emerging Equities is the best amongst the small cap & mid cap category and
it is ranked 1 by CRISIL. It aims to generate long term capital appreciation
through investing in diversifies mid-cap stocks which have higher probability
to turn into bigger corporate in the coming future.

Portfolio Analysis: As per the sectoral holdings Engineering & Capital Goods have been most favored sector for
this fund as it is contributing 17.84% to the entire portfolio followed by
Banking and Chemicals Sector. Top Holdings and Sector Allocation for this fund
are shown below -

Top Holdings:

Company

PE

%
Assets

Indusind
Bank

31.00

3.43

Indian
Oil Corp.

23.59

2.61

Atul

21.33

2.36

Ramco
Cements

20.87

2.31

Divis
Laboratories

19.61

2.17

Sector Allocation:

Sector

%

Engineering& Capital Goods

15.26

Banking & Financial Services

14.81

Chemicals

10.06

Cement &Construction

9.63

Manufacturing

5.96

Returns as on 21st June, 2016

Performance

Fund

1 Year

3.40

3 Year

38.79

5 Year

22.07

Risk Profile: The
risk associated with this fund is too high because the total investment is
focused on the stocks from small caps and mid-caps sector. During the corrective
phase or bad times this scripts do not
have any lower limits to fall which can turn into capital loss. However
every coin has 2 sides as these small size companies have potential to turn
large which once happens can add bumper
returns to your corpus. It is suitable to investors having high risk
bearing ability within the age of 20-40 years.

Investment perspective: This fund has
maximum exposure to equity and as per our outlook on Indian Equity markets we
feel that the corrective action of past months is on the verge of completion
and post that the Bull Run should resume which will provide alpha returns.
Hence this is the correct time to park your money in this fund through the SIP
route.

In
a nutshell, this fund looks to be the best
amongst the midcap and small cap sectors. The break of 65 levels will provide
excellent opportunities to investors to enter in staggered fashion and ride
closer to their goals!

Wednesday, July 13, 2016

Elliott Wave, Neo Wave and Time Cycles are one of the most advanced concepts of technical analysis.

Many believe that keeping it simple is the key to trading success which is probably true but we think it applies from Risk management and money management perspective. However, with respect to timing the market and knowing when to enter the trade, simple strategy no longer gives the desired outcome given that Indian equity markets are moving in complex formations. To cater to the changing market environment it is prudent to apply the best of the tools available to increase trading success.

Time is the essence for everything. It is applicable not only to our day to day life but for freely traded markets as well. A good trade setup if not timed properly can still result into a serious loss. There are very few technical analysis studies that focus on Time since most of the techniques are driven by Price alone!

The course is designed to aim at the following aspects of trading:1. Best Trade setups to enter the market2. How to make the most of the position by timing the exit3. Know when not to trade – A key to trading success4. Applying other techniques along with Elliott wave for high conviction trade setups5. Time cycles – A very important element to help reduce the number of probable scenarios to nearly one!6. How to keep the profits intact after a winning streak…

Ashish Kyal, CMT will be conducting Most Advanced Technical Analysis Training – Neo wave and Time Cycles in Mumbai on 23rd-24th July 2016.

Ashish Kyal declared winner on ET NOW- Buy Now Sell Now. The training will also focus on the techniques he followed during the ET Trade show to generate exceptional returns in just a week’s time.

The stock selection based on Neo wave and Elliott wave techniques helped to deliver exceptional return of 9.11% in just over a week.

Ashish carries vast experience of analyzing World Equity, Currency and Commodity markets using techniques like Elliott Waves, Neo wave, Time Cycles, and momentum tools. He is a frequent speaker on business channels like ET Now, Zee Business, CNBC TV18, Bloomberg TV.

Ashish also speaks at financial seminars likeMarket Technicians Association (MTA – USA),Association of Technical Market Analysts (ATMA),National Institute of Bank Management (NIBM),Sydenham Management College. He is on the selection panel of GDPI for premiere B- Schools and invited by Somaiya Institute of Management Studies and Research to speak on Entrepreneurship. He has also been invited as a guest speaker at National Stock Exchange of India (NSE) for the Post Graduate Certificate Program in Financial Economics.

Contents:1. Overview of Elliott Wave2. Neo Wave3. Two stage confirmations4. Diametric Pattern5. Newly discovered patterns6. Different Rules and guidelines7. Cycle Analysis: Time the market with accuracy using Time cycles8. Trade setups, Application of the concepts on charts9. Momentum Stock selection for Intraday trades with exit strategies

SCOPEThe training is ideal for those who want to analyze and understand Equity / Commodity / Forex markets in detail. Traders or investors who want to learn on how to build their investment portfolios or do trading for living. The course is designed for anyone and everyone keen to learn systematic way of trading using scientific approach. The only pre-requisite is passion for learning objective method of trading.

WHO SHOULD ATTEND?§ Members of Equity, Commodity, Currency exchanges§ Brokers / Traders / Dealers§ Research analysts in Equity, Commodity and Currency markets§ Students who aspire to pursue career in Financial Markets§ Treasury dealers of Banks and Corporate

Where and when is the course?The training is at Hotel Grand Sarovar Premiere, Goregoan, Mumbai. This belongs to 5 star category having chain of international hotels and the fees are including Tea / Coffee and Lunch.

Registration Fee:The charges for the Training are Rs. 23000 + 15% Service tax. Register before 15th June 2016 to avail Early Bird Offer and confirm your seat today!If registered after 15th June 2016 charges would be Rs. 26000 +15% Service Tax

Registration is on first come first basis as there are limited seats.Refer a friend and get 10% discount

After the course :1. One Month of free Nifty Neo wave research report to understand the practical application on realtime basis2. Instant interaction on Discussion Forum at www.wavesstrategy.com3. All participants will be entitled for 20% Discount on any of our research products after the course for 1 month subscription

How to Enroll?To register for the training using either Credit Card or Netbanking visit http://www.wavesstrategy.com/Payment.aspx and mention Product as “Neo wave Training” and period as “1”For any other details call us on +91 22 28831358 / +91 9920422202 or write to us at helpdesk@wavesstrategy.com

The term blue chip comes from the game of poker where the blue chip holds the highest value. Here it refers to the shares of the company that are thought to be significantly safer than a vast majority of stocks. They carry excessive financial strength enormous cash reserves, little or no debt and have the capability to survive any financial depression. Wealthy and successful investors tend to love these blue chips because the stability and strength of their financial statement means that the passive income is hardly ever in danger, especially if there is broad diversification in portfolio.

Blue chip funds are considered low risky since the underlying securities are well established, stable companies and with a history of paying dividends and maintaining value despite fluctuations in the surrounding market. They can also be chosen as a part of conservative investment strategy.

SBI Blue Chip Fund- Growth Weekly Chart

SBI Blue Chip Fundis classified as Large Cap Fund Ranked 1 by Crisil. This fund has 85.53% exposure to Equity followed by some exposure to Money market Instruments.

Portfolio Analysis: The fund is well diversified in terms of stocks as well as at Sector level with flexibility of investing up to 20 per cent in mid-cap stocks. The fund is benchmarked to BSE 100 index. The Top holdings and Sector allocation for the stocks are shown below.

Top holdings –

Sector Allocation

Returns as on 06 July, 2016

The fund has also outperformed its benchmark across market phases, but due to its maximum exposure to Equity instruments this fund is considered risky. However the investment is into blue chip companies which give a cushion to the risk associated with the equity markets.

Investment Rationale:SBI Blue Chip Fundhas maximum exposure to Equity but the benefit is that it’s a large cap fund so the correction should not be much deeper like the small cap stocks. In order to fetch alpha returns the investors should make staggered investments and SIP will be the best option as of now!

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About Me

I am the founder of Waves Strategy Advisors (www.wavesstrategy.com) an independent research company.
I am passionate about Elliott wave and practicing it for many years. I use Advanced concepts of Technical analysis, Elliott wave and Neo wave to derive the future probable path markets can follow. I produce daily research reports on Equity, Commodity and Forex markets using these techniques. For more information on subscription to these research please write at ashishkyal@gmail.com